Australia’s export credit agency EFIC is providing a US$81.7mn direct loan facility to Leighton Asia for its Ukhaa Khudag coal mine in Mongolia.

EFIC provided the US$81.7mn loan facility to BNP Paribas to facilitate Leighton’s lease of its mobile mining fleet and equipment.

Although the margin of the loan could not be disclosed, EFIC tells GTR that the facility’s tenor is seven years.

Peter Field, EFIC’s executive director, origination and portfolio management says: “Major projects like Leighton Asia’s Mongolian mining operations have significant and complex financing needs which cannot all be met by the commercial market.”

EFIC’s chief financial officer, Peter Gregg adds: “The direct loan facility will help us to deliver world- class mining solutions to our clients, both through the quality of our people and the safety and reliability of our operations.”

Leighton Asia is a wholly-owned subsidiary of Leighton Holdings and has operated the Ukhaa Khudag coal mine since 2009.